3.10.2 Mandatory Indemnification

• Jurisdiction: Arizona

A.R.S. Sec. 10-3852 sets forth the requirements for when a corporation must indemnify a director. Unless limited by the articles of incorporation, a nonprofit corporation must indemnify a director who prevails in a proceeding to which the director was a party against reasonable expenses incurred by the director. A.R.S. Sec. 10-3853 allows a nonprofit corporation to advance reasonable expenses before a final determination in a proceeding if both:

1. the director provides the nonprofit corporation with a...